Publications

Publications

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EPOC Working Paper No. 10 / Work Package 01
2023 / Tommaso Di Francesco, Cars Hommes

Sentiment-Driven Speculation in Financial Markets with Heterogeneous Beliefs: a Machine Learning approach

2024 / Daniel Torren-Peraire, Ivan Savin and Jeroen van den Bergh

An Agent-Based Model of Cultural Change for a Low-Carbon Transition

Journal of Artificial Societies ans Social Simulation, 27(1) 13
Summary
Meeting climate goals requires radical changes in the consumption behaviour of individuals. This necessitates an understanding of how the diffusion of low-carbon behaviour will occur. The speed and interdependency of these changes in behavioural choices may be modulated by individuals’ culture. We develop an agent-based model to study how behavioural decarbonisation interacts with longer-term cultural change, composed of individuals with multiple behaviours that evolve due to imperfect social learning in a social network. Using the definition of culture as socially transmitted information, we represent individuals’ environmental identity as an aggregation of attitudes towards multiple relevant behaviours. The strength of interaction between individuals is determined by the similarity in their environmental identity, leading to inter-behavioural dependency and spillovers in green attitudes. Our results show that the initial distribution of agent attitudes towards behaviours and asymmetries in social learning, such as confirmation bias, are the main drivers of model dynamics, helping to generate awareness of what roadblocks may appear to deep decarbonisation. To assess the impact of culture beyond a purely diffusive regime, we introduce green influencers as a minority of individuals who broadcast a green attitude. The greatest emissions reduction is achieved with the inclusion of culture, relative to a behavioural independence case, and with low confirmation bias. However, green influencers fail to achieve deep behavioural decarbonisation through solely voluntary action. We identify areas for further research regarding how culture, through inter-behavioural dependence, may be leveraged for climate policy.
2021 / Pavanello, F., E. De Cian, M. Davide, M. Mistry, T. Cruz, P. Bezerra, D. Jagu, S. Renner, R. Schaeffer, A.F.P. Lucena

Air-conditioning and the adaptation cooling deficit in emerging economies

Nature Communications, Vol. 12, Art.-Nr. 6460
EPOC Working Paper No. 09 / Work Package 02
2023 / Martina Maglicic, Vitor Vasconcelos

Income inequality in the uptake of environmentally friendly products

2023 / Peter Ditlevsen, Susanne Ditlevsen

Warning of a forthcoming collapse of the Atlantic meridional overturning circulation

Nature Communications, 14 Art. No.: 4254
2022 / Colelli, F.P., J. Emmerling, G. Marangoni, M.N. Mistry, E. De Cian

Increased energy use for adaptation significantly impacts mitigation pathways

Nature Communications, Vol. 13, Art.-Nr. 4964
EPOC Working Paper No. 08 / Work Package 03
2023 / Aldo Glielmo, Marco Favorito, Debmallya Chanda, Domenico Delli Gatti

Combining search strategies to improve performance in the calibration of economic ABMs

2023 / Catarina Midões, Denis de Crombrugghe

Assumption-light and computationally cheap inference on inequality measures by sample splitting: the Student t approach

The Journal of Economic Inequality
2021 / Maestre, S., S. Drews, I. Savin, J. van den Bergh

Carbon tax acceptability with information provision and mixed revenue uses

Nature Communications, Vol. 12, Art.-Nr. 7017
Summary
Public acceptability of carbon taxation depends on its revenue use. Which single or mixed revenue use is most appropriate, and which perceptions of policy effectiveness and fairness explain this, remains unclear. It is, moreover, uncertain how people’s prior knowledge about carbon taxation affects policy acceptability. Here we conduct a survey experiment to test how distinct revenue uses, prior knowledge, and information provision about the functioning of carbon taxation affect policy perceptions and acceptability. We show that spending revenues on climate projects maximises acceptability as well as perceived fairness and effectiveness. A mix of different revenue uses is also popular, notably compensating low-income households and funding climate projects. In addition, we find that providing information about carbon taxation increases acceptability for unspecified revenue use and for people with more prior tax knowledge. Furthermore, policy acceptability is more strongly related to perceived fairness than to perceived effectiveness.
EPOC Working Paper No. 07 / Work Package 01
2023 / M. Alperen Yasar

Power struggles and gender discrimination in the workplace

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